5 Apr 2013
O'LOUGHLIN V TOWER INSURANCE LTD HC CHCH CIV-2012-409-002385
- Citation
- openlaw-53e12baa_3c67_43e9_a566_ee00c094ba95.pdf
- Court
- High Court
The red zone designation did not constitute physical loss or damage to the plaintiffs' house and did not, on the policy language and commercial context, give rise to cover for purely economic loss under the natural disaster special benefit; Tower's payment based on a notional LMG relevelling repair was not shown on the evidence to comply with Tower's contractual obligation to pay the full replacement value (the LMG method was insufficiently demonstrated to secure consent and was too uncertain), therefore Tower's repair-based offer did not meet the policy standard and Tower must instead provid…